afrol News, 17 November - The International Monetary Fund (IMF) announced the sale of two metric tons of gold to the Bank of Mauritius.

The IMF said the sale to the country’s central bank was conducted on the basis of market prices prevailing on 11 November, 2009 with proceeds equivalent to US$71.7 million. This transaction is part of the total sales of 403.3 metric tons approved by the Executive Board in September 2009, explained the IMF in a statement, also stating that the sale adds to the 200 metric tons already sold to the Reserve Bank of India.

As previously announced, in accordance with the guiding principle of avoiding disruption of the gold market, the IMF's Executive Board adopted modalities for the gold sales consistent with guidelines it had earlier established.

In particular, the Fund is standing ready for an initial period to sell gold directly to central banks and other official holders that may be interested in such sales. Thereafter, on-market sales of any amounts remaining from the 403.3 tons would be conducted in a phased manner over time, following the approach adopted successfully by central banks participating in the Central Bank Gold Agreement.

As previously indicated, the Fund will inform markets before any on-market sales commence, and will report regularly to the public on progress with the gold sales, the statement concluded.

By staff writer

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